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B®ANDING

Session 2, creating brand value 2013 2014

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Page 1: Session 2, creating brand value 2013 2014

B®ANDING™

Page 2: Session 2, creating brand value 2013 2014

Session 2creating brand value &

brand positioning

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1 week ago

• introduction to branding• brand awareness, brand knowledge, brand

image, brand preference• why brands are important• 6 reasons why we should brand culture &

entertainment

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homework

• Prepare chapter 1 till 3 ‘Strategic brand management’

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course outlineWeek Subject Chapter Keller1 Introduction in branding: brand management and

global course overview, Branding music, events and entertainment

1

2 Creating brand value, Brand positioning 2 & 3

3 Building brand equity, Brand associations 4 & 5

4 Future branding: brand activation 6 & 7

5 Brand research, Brand psychology, Neuromarketing, Measuring brand value

8, 9 & 10

6 Brand strategy, Brand extensions, International branding, Summary

11, 12, 13 & 14

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“…the goal of a brand is to establish a monopoly

position in the mind of an individual….”

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buying books online?

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luxurycoffeeat home?

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family weekend?

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but how do we do it?

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today• strategic brand management process• customer based brand equity• brand image• brand designing vs. brand building• coffee-case• brand positioning

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reference:

chapter 2 & 3 Keller

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“so what does a brand manager do?”

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“he/she works with brands”

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“he/she creates brands”“he/she supports brands” “he/she analyses brands”

“he/she repositions brands”

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“but he/she is not a designer”

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“he/she is someone who knows a lot about marketing,

communication, social media and branding”

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strategic brand management process

1. Identifying and establishing brand positioning

2. Planning and implementing brand marketing campaigns

3. Measuring and interpreting brand performance

4. Growing and sustaining brand equity

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the book

ISBN: 978-90-430-1729-9

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“a test”

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“a conclusion”

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Brand equity

No brand vs. Brand X

Brand equity

‘…brand equity is built up from positive effects of marketing that can only be directed to the brand…’

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customer-based brand equity(CBBE) Brand equity seen from the consumer perspective

The power of a brand is a result of: What has the consumer:

learned about the brandfelt when using the brandseen in combination with the brandheard about the brand

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brand knowledge• Consists of:

– 1) brand awareness– 2) brand image

• Knowledge about a brand:The associative network memory model (the

brain is a network of associations, links and nodes, more about this in session 3 and 5)

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Possible associations with apple

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1. brand awareness• Consists of:

– 1) brand recognition – I’ve seen this before…

– 2) brand recollection – I think you are referring to...

• Advantages:– Influences the amount, speed and strength of

associations to be made– Better chance to be part of the evoked set– Better chance to become the chosen brand

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2. brand image

• Building a good brand image: creating strong, positive and unique brand associations

• Important:– Personal relevance– Uniqueness– Consistency– Credibility

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What’s brand image?

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brand image

• Brand image is an intangible aspect of the brand

• Brand image is about the ways a brand tries to fulfil psychological, social and symbolic needs

• It’s the way people think about the brand in a very abstract sense

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Summary

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“building a strong brand”

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building a strong brand4. Brand relationships: What about us?

3. Brand responses: What I think of you?

2. Brand meaning: What are you?

1. Brand identity: Who are you?

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building a strong brand

Brand resonance pyramid (Keller)

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“building a strong brandis an ongoing process”

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Brand designing vs. Brand building

ProductBrand

Identity

Brand

Designing

Brand

Building

Brand

Relations

Core Target Creation Building Result

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brand design

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design

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what is brand designing?

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“…brand design is the creation (!) and

the visualization (!) of brands..”

source: Brand design, Ruud Boer

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choose a nameunique, short,

easy to say, easy to spell

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create a logodesign, colour, tagline

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always be consistentpersistence does pay off

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use the right facescelebrity endorsement

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give a brand meaning we are this, not that

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try to work together

give me your brand and you get mine

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brand designing and redesigning

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a case: starbucks

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Starbucks questions:

•Look thoroughly at the evolution of the Starbucks logo.

•Give a short explanation for the change of the Starbucks logo to as it is today. (you can use the internet in order to find some reasons or come up with some yourself).

•Go on and search 3 other examples of logos that recently have been changed. Also give your vision on why you think the specific brands have done this.

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an exampleCommodity: grower

Goods: manufacturer

Service: coffee corner

Experience: premium coffee shop

Ultimate: Café Florian, Venice

2 cts per cup

5-25 cts per cup

50 cts - € 1 per cup

€ 1 - € 4 per cup

€ 5 - € 10 per cup

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progression of economic value

commoditization

commodities

services

goods

experiences

commoditization

commoditization

customization

customization

customization

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translation

progression of economic value =toename van economische waarde

customization =maatwerk

commoditization =vereenvoudiging

commodity =grondstof / bulkgoed

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Functions of brand design

1. Creating extra value2. Creating difference 3. Communicating promises4. Creating awareness5. Creating recognition6. Communicating basic information7. Fulfilling other functions

• For example ‘Living the brand’

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the inner side:A. creation of brands(vormen van merken)

the outer side:B. visualisation of brands(vormgeven van merken)

Brand desigining:

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A. the creation of a brand (inner side)

• establishing brand DNA (genetisch)• establishing brand soul (karakter)

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A. the creation of a brand (inner side)

1. Brand vision• What does the market look like in 5-10 years? What

position does the brand have?2. Brand mission

• What do we have to do to make our vision come true?3. Brand values

• What is unique for our brand?4. Brand personality

• How can we describe our brand as it were a person? How can we describe our brand different to other brands

5. Brand promise• What is the most important promise we have towards the

target group6. Brand core-concept

• What is the core of the brand, what is reason the brand exists?

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1. Sight• Which visual aspects make our brand unique?

2. Touch• Which physical aspects make our brand unique?

3. Hear• Which audible aspects make our brand unique?

4. Taste• Which taste makes our brand unique?

5. Smell• Which smell makes our brand unique?

6. Language• Which language does the brand talk?

7. People• Which persons or characters are related to the brand?

B. the visualization of a brand (outer side)

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• Visualisation through:– Logo– Colours– Fonts– Text– Shape– Material– Lay-out– Visuals (photos, icons, illustrations)

B. the visualization of a brand (outer side)

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SightWhich visual aspects make

our brand unique?

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TouchWhich physical aspects make

our brand unique?

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HearWhich audible aspects make

our brand unique?

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TasteWhich taste makes our brand

unique?

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SmellWhich smell makes our brand

unique?

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LanguageWhich language does the

brand talk?

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PeopleWhich persons or characters

are related to the brand?

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the inner side:A. creation of brands

mental brand identity

the outer side:B. visualisation of brands

visual brand identity

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‘Het merk-wijzer model’

Source: Brand design, Ruud Boer

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brand positioning & brand elements

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brand building

Building a strong brand: creating strong, positive and

unique brand associations

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brand positioning

“…finding the right location in the mind of the consumer..”

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brand positioning and repositioning

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brand positioningWhat you need for brand positioning:

1. Overview of the target group2. Overview of the most important

competitors3. A) Points of parity regarding

competition B) Points of difference regarding competition

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Points of parity (POP):•Positive associations a brand shares with its competitors•POPs ensure that brand is accepted within a certain product category

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Points of difference (POD)•Positive associations a consumer only connects to one brand•Functional and/or emotional•Similar to a USP

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Brand Association CompetitorRed Bull Energetic, edgy Pepsi

CNN International, breaking NOS

IKEA Cheap tasteful design Leen Bakker

Twitter Leading conversation, unique

?

? ? ?

? ? ?

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PODs must be:– Relevant: consumers must think the difference is

relevant to them– Distinctive: consumers must think the difference is

distinctive and superior– Credible: consumers must think the difference is

credible– Feasible: can the brand really accomplish what it

promises– Communicable: are consumers really going to

believe the brand when it communicates a certain point of difference

– Durable: the point of difference should be defendable

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“… it’s easier to create a POP than it is to create a POD…”

“…there is a difference between creating a POD and

really getting a POD inside the mind of the consumer…”

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“…what if your brand has created a strong POD for a

certain product category, and you want to make use of this

POD for another product category? …”

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Laddering

Attributes (product features)

Benefits (personal values and advantages connected to product features)

Values (personal goals)

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“…brand laddering involves progression from

attributes to benefits to more abstract values.

Laddering involves repeatedly asking what the implication of an attribute

or benefit is for the customer…"

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for instance

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Attributes: nicotine

Benefits: relaxation, social smoking, belonging to a group

Values: tough, relaxed, masculin

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core brand associations • Describing the core promise of the

brand• 5-10 most important aspects of the

brand• By researching consumers / users

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core brand associations MTV

• Hot and new• Expert• Hip and cool• Honest• Creative• Relevant

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a case study

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(home)work• prepare chapter 4 and 5• read the business case• write a short report (max. 500 words)

about how you thought the repositioning could have turned out otherwise

• use the laddering method on Philips in order to come up with a new product category (let your imagination flow)

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questions? /comments

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thank you!